Investment Tips: If you want to invest in gold then Gold ETF can give you huge profit..

Gold Price: Gold prices have fallen sharply since the decision to cut the customs duty on gold in the first budget of Modi 3.0. Due to gold being cheap, investors' interest in it has increased significantly. Let us tell you that India is the world's largest gold consumer country. Here, gold is purchased in large quantities for any auspicious work, from marriage to any other occasion. For years, people have been buying gold for their homes.

In today's time, of course, many new means of investment are available, but the utility of investing in gold has not decreased even today. If you are also planning to invest in it after the softening of gold prices, then invest in Gold ETF instead of physical gold. In terms of investment, this can prove to be a very good option for you. In this, you will get a guarantee of 99.5% purity, along with many other benefits.

What is Gold ETF
Gold ETF (Exchange Traded Fund) is an investment option of mutual fund, which is based on the falling and rising prices of gold. Here you can invest in gold. Gold ETF can be bought and sold on BSE and NSE just like shares. However, you do not get gold in it. When you want to withdraw from it, you will get money equal to the price of gold at that time.

5 big benefits of Gold ETF
Purity guarantee
Gold purchased from Gold ETF is guaranteed to be 99.5% pure, which is the highest level of purity. Apart from this, investment in ETF is less volatile as compared to direct investment in the stock market.

Purchasing is easy
Investing in it is easier than physical gold because ETF is bought in units. One Gold ETF unit means 1 gram of gold. If you do not have a lot of money, you can buy one or two units of gold. Whereas, while buying physical gold, even if you buy a small ring, it weighs at least 4 to 5 grams, so you need a lot of money. Gold ETF can be bought for less. Also, there is a facility for buying through SIP.

Making costs is saved
When you buy any jewelry from a jeweler, you have to pay its making charge along with gold, due to which gold becomes very expensive. But in Gold ETF, you do not have to pay any kind of making charge. There is a brokerage of 1% or less in buying Gold ETF, and a 1% annual charge has to be paid to manage the portfolio. But this is much less than the making charge.

No worry about security
If you buy physical gold, then there is a worry about security in it. There is no such hassle in Gold ETF. Like shares, you keep electronic gold in a demat account, for which you have to pay annual demat charges. But you do not have to worry about it being stolen.

Can be used as a security
If a person wants to take a loan in the future, he can use gold ETF as security. Apart from this, gold ETF can be bought and sold immediately without any hassle.

How to invest in gold ETF
If you want to invest in gold ETF, then you will first have to open a demat account. In this, you can buy units of gold ETF available on NSE and the amount equal to that will be deducted from the bank account linked to your demat account. After one or two days, gold ETF will be deposited in your account. It is sold only through the trading account.

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